Caution on SoFi Stock Valuation

2 months ago

Parkev Tatevosian, CFA

"Now, all that being said, SoFi has great prospects longer term, but I just want to caution investors about the valuation. SoFi stock price is already up significantly in 2025, and I'm happy about that because I rated SoFi stock as a buy for most of the year. I was uh rating SoFi stock as a buy. I only downgraded it to a hold about a month ago when the stock price was already up 85% and was already approaching roughly $30. And you've seen the share price has hovered around $30 for a while now. And I feel it's limited upside for the rest of this year at this current market price. I think the share price has accelerated ahead of the tangible performance improvements from the company."

The speaker advises caution regarding SoFi's current high valuation, suggesting that despite strong fundamentals and growth catalysts, the stock's upside is limited at its current price, and investors should wait for a better entry point.

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